The Government of Grenada has advised theย management of the Grenada Gravel Concrete and Emulsion Production Corporation toย initiate a meeting with representatives of Grenada Technical and Allied Workers Unionย (TAWU), which represents workers there.
Workers at the corporation downed tools on Thursday to demand the payment of theย annual profit-sharing.
According to the collective bargaining agreement between the corporation and TAWU,ย permanent employees are expected to benefit from 15% of the companyโs annual pre-taxย profits while contract staff receive one monthโs salary.
The corporation did in fact record a profit during 2019, the year on which this yearโs profitย sharing will be based. However, with the impact of the COVID-19 pandemic and theย closure of business operations during the period of lockdown, the company faced aย significant reduction in income, while at the same time, continuing to pay workersย throughout the period of inactivity.
Additionally, millions of dollars have been invested in capital expenditure, purchasing newย equipment and refurbishing or upgrading existing machinery with a view to improving theย corporationโs capacity and the efficiency of its operations.
With the pandemic creating a very uncertain business environment, based on itsย widespread impact, there are serious concerns that the payment of bonuses could impactย the corporationโs future cash flow, jeopardise jobs and offset further capital expenditureย plans to enhance operational efficiency.
Government believes urgent dialogue between the corporationโs management and theย union representatives should examine the situation, with a view to determining theย medium to long-term impact of profit-sharing this year and a more responsible timelineย that will satisfy the needs of all concerned.
Government notes that the dispute over profit-sharing comes at a time when hundreds ofย other workers across the country, have been on the breadline since the onset of theย pandemic in Grenada.
